1. Gotta compare them all!
Like all grandmothers in grocery stores, you have to compare which company or platform gives you the best bang for your buck (no pun intended). All you have to do is Google some websites that can get you close, comparative estimates of the pricing and benefits by issuers. If you’re malas, the link is in the next paragraph.
For example, with the admin's current Nissan Almera, the comprehensive coverage will be priced around RM1000 to RM1200 yearly. But after some research, the admin found out that the price can be estimated around RM900 je! Like most things in life, it doesn't come easy, so you gotta do your due diligence. Here’s an excellent place to start:
.
2. Everyone gets the add-ons that nobody actually needs!
Some
premiums automatically add-on coverages and charge you for it without your knowledge. For example, if you don’t live in a flood-prone area, you wouldn’t need the flood coverage, and that would help lower your premium amount. So make sure you read your policy carefully and pick and choose something that suits your needs!
If you need flood coverage, check out this article on
.
3. NCD - The Big Daddy of Discounts
No-Claim Discount (NCD) is the holy grail of saving your bank account on your premium. What actually is NCD? As stated in our previous article about transferring NCD, NCD is a discount that you’ll get every year when you want to renew your car/motorcycle insurance. Assuming you don’t make any claims from year to year, your NCD entitlement will increase to a maximum of 55% after the 5th year.
Here are the numbers for your slumbers:
| Period of No Claims Made | NCD Entitlement |
|---|---|
| 1st Year | 0% |
| 2nd Year | 25% |
| 3rd Year | 30% |
| 4th Year | 38.33% |
| 5th Year | 45% |
| After 5th Year | 55% |
That means an RM 1,000 premium after the 5th year saves you RM550! That’s an easier cash gain than having
.
4. Save based on your Mileage!
Typically, your premium is based on your vehicle specifications, driving record, residential area, and even age (because your reflexes tend to slow down after a while). But the interesting thing is that mileage is almost never considered, except on
.
So, if you don’t travel much, the rates on PrOmilej are exceptionally worthwhile! And another bonus of not travelling much is that when you decide to
, it’ll be much easier!
Based on the admin's car, with an average car insurance premium between RM1000 to RM1200, the admin can save up to 40% if they drive less than 5000 km in total. That puts the premium at a mere RM600! This is, of course, before any NCD deduction (yes, it’s stackable like a game of Jenga on a boring MCO day).
5. Discount?! Discount?!
Malaysians just love a good discount, innit! Clothes discounts,
,
, and not to mention
in 2020. Well, guess what? Car insurance also can! Some insurers do give cash rebates and discounts. Best part? You can do it online! Since MCO cannot go out kan. So alang-alang je la!
6. Drive Safe = More Savings
Did you just say “what?!” in your head? What indeed!
Being a safer and more responsible driver on the road can actually save you money on your premiums! How? With
, you can get up to 30% rebates on top of your NCD based on your braking, speeding, acceleration, and cornering on the road. All you have to do is download the app and register. You don’t even have to open the app! It will detect movement on its own in the background.
So the next time someone says, “Drive safe!” You can reply with, “Totes, I need to afford lunch esok!”
Now, with all that said, let’s do a hypothetical. Here’s the scenario:
Ravi drives an Axia 2021 SE Automatic Car. He’s a responsible, law-abiding citizen who is a saint on the road. He’s always keeping to speed limits, never cutting traffic lights, and always stopping at every corner he needs to, like most of us do kan? ;)
In Ravi’s case, a regular premium would cost him around RM 1,150*. Ideally, if he has the highest tier on DriveMark (Level 7) at 30% discount, PLUS the No-Claim Discount (NCD) of the maximum 5 years at 55%, he will receive a total of 85% rebate off his premium which puts his cost to a whopping RM 172.50 per year only! What in the holy mother of discounts?!
Pair that up with a good
deal, and you can sleep soundly at night on stacks of cash (joking, please invest that money, kthanksbye). Although keep in mind that Drivemark only provides that big fat discount if your car is 10 years and younger, okay, so make sure you go through the FAQ first.
*Calculations are estimates only k!
And now you know how to be kiam siap with your insurance premiums. All you need is a low-budget car, have immaculate roadside discipline, and be female; then you’re on your way to becoming a millionaire!
Drive safe!
*The above article is intended for informational purposes only. Loanstreet accepts no responsibility for loss that may arise from reliance on information contained in the articles.
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